SECURITIES AND EXCHANGE COMMISSION
                     WASHINGTON, D. C. 20549

                            FORM 10-Q

       QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF
               THE SECURITIES EXCHANGE ACT OF 1934

               For the Quarter Ended: May 31, 1998
                 Commission File Number: 0-7568

                    TOTH ALUMINUM CORPORATION
     (Exact name of registrant as specified in its charter)

           LOUISIANA                        72-0646580
(State or other jurisdiction of    (I.R.S. Employer Identification
 incorporation or organization)               Number)

           HIGHWAY 18 - RIVER ROAD, VACHERIE, LA 70090
      (Address of principal executive offices)   (Zip code)

    Registrant's telephone number, including area code: (504)
                            265-8181

   Securities registered pursuant to Section 12(b) of the Act:

                              NONE
                      (Title of each class)

   Securities registered pursuant to Section 12(g) of the Act:

                 COMMON STOCK, WITHOUT PAR VALUE
                        (Title of class)
                                
Indicate  by check mark whether the registrant (1) has filed  all
reports  required  to be filed by Section  13  or  15(d)  of  the
Securities  Exchange Act of 1934 during the preceding  12  months
(or for such shorter periods that the registrant was required  to
file   reports),  and  (2)  has  been  subject  to  such   filing
requirements for the past 90 days: Yes  X    No

Indicate  the  number  of  shares  outstanding  of  each  of  the
registrant's   classes  of  common  stock,  as  of   the   latest
practicable date:

Common stock, without par value                   35,466,193
        Class                             Outstanding at May 31, 1998




                    TOTH ALUMINUM CORPORATION


                       INDEX TO FORM 10-Q

               For The Quarter Ended May 31, 1998





                                                           Page

Part I  Financial Information

        Balance Sheets - May 31, 1998
        and August 31, 1997..............................    

        Statements of Operations - Nine Months
        Ended May 31, 1998 and May 31,1997...............    

        Statements of Cash Flows - Nine Months
        Ended May 31, 1998 and May 31, 1997.............     

        Notes to Financial
           statements..................................      

        Management's Discussion and Analysis
        of the Financial Conditions and Results
        Of Operations..................................      

Part II   Other Information.............................     









<TABLE>
TOTH ALUMINUM CORPORATION (A DEVELOPMENT STAGE ENTERPRISE)
COMBINED BALANCE SHEETS (UNAUDITED)

                                            MAY 31,     AUGUST 31,
                                              1998         1997
<S>                                        <C>          <C>
ASSETS

CURRENT ASSETS:
Cash ...............................             178       4,112
Accounts receivable-other...........             -           -  
Total current assets................             178       4,112

Property, Plant and
Equipment - Net.....................          56,198      79,738

OTHER ASSETS:

Investments in and Advances
      to Armant Partnership.........          71,400     110,250
Patents and Patent Rights (Net of
      accumulated amortization......             357         940

Total Other Assets..................          71,757     111,190


TOTAL ASSETS........................       $ 128,133  $  195,040





                                              MAY 31,   AUGUST 31,
                                               1998        1997
LIABILITIES

CURRENT LIABILITIES:
Notes payable-related parties.......       $  23,100    $  23,100
Notes payable-bank..................              -            -
Notes payable-other.................         300,000      300,000
Accounts payable:
     Trade .........................         471,420      457,300
     Officers and employees.........         327,147      297,560
Accrued salaries....................       2,134,455    1,948,961
Accrued expenses....................         192,450       89,450
Accrued interest payable............       1,759,433    1,474,005
Total current liabilities...........       5,208,005    4,572,376

DEFERRED CREDIT.....................             -            -  


Series AA-1" Convertible Promissory Note(1)
Related Parties
     Principal......................       7,398,265     7,398,265
     Accrued Interest Payable.......       5,736,891     4,404,380
Non-Related Parties
     Principal......................       5,978,421     5,978,421
     Accrued Interest Payable.......       5,079,421     4,356,180
Total Series "A-1" Notes............      24,192,998    22,137,246


CONVERTIBLE DEBENTURES PAYABLE
     (net of discounts, commissions,
     and offering costs of $1,563)..          20,437        20,437

STOCKHOLDERS' EQUITY:
Common stock - no par value.........      38,258,096    38,258,096
Common stock subscribed.............          20,000        20,000
Paid in capital.....................         164,774       164,774
Deficit accumulated during the
     development stage..............     (67,736,177)  (64,977,889)
Total stockholders' equity..........     (29,293,307)  (26,535,019)


TOTAL LIABILITIES...................      $  128,133   $   195,040
</TABLE>

<TABLE>
TOTH ALUMINUM CORPORATION  (A DEVELOPMENT STAGE ENTERPRISE)
STATEMENTS OF OPERATIONS (UNAUDITED)
                                                                        From
                           Three Months Ended     Nine Months Ended   Inception
                             May        May        May         May     To May
                             31,        31,         31,        31,       31,
                            1998       1997        1998       1997      1998
<S>                      <C>        <C>         <C>       <C>        <C>   

COSTS AND EXPENSES:
Research and
     Development........ $  3,750   $  7,426    $  9,600  $  23,202  $ 7,726,740

Promotional, general and
     administrative.....   77,600     87,430     251,420    321,521   15,682,146

Interest................  991,362    754,486   2,341,180  2,120,828   13,906,044
   Total................1,072,712    849,342   2,602,200  2,465,551   37,314,930


OTHER (INCOME) EXPENSE:
Loss in Investment and
     advances to
     Armant............    12,832    229,120      38,850    630,425   17,612,639

Equity in loss of
     Armant............    27,841    141,499      92,821  1,380,639   12,810,608

NET LOSS...............$1,113,385 $1,219,961  $2,733,871 $4,476,615  $67,738,177

Loss Per Common Share..     $.03       $.03        $.08       $.13

</TABLE>

See notes to financial statements.

TOTH ALUMINUM CORPORATION  (A DEVELOPMENT STAGE ENTERPRISE)
STATEMENTS OF CASH FLOWS

<TABLE>
                                        Nine Months Ended      From Inception
                                       May 31,      May 31,      To May 31,
                                        1998           1997          1998

<S>                                  <C>            <C>           <C>
OPERATING ACTIVITIES

NET LOSS..........................  ($2,733,871)   ($4,476,615)  ($67,738,177)

ADJUSTMENTS TO RECONCILE NET
INCOME TO NET CASH PROVIDED BY
OPERATING ACTIVITIES:

Depreciation and
     amortization.................       23,540        20,001       1,115,032
Amortization and write
     off of patents...............          590        35,921         441,118
Amortization of prepaid leases....                                    302,424
Amortization of Financing.........                                     95,000
Loss on divestiture
     of Subsidiaries..............                                    912,586
Losses from joint venture.........       92,821     1,380,639      11,174,663
Other.............................                                    111,616
Proceeds from royalty
     Prepayments..................                                    172,760
Prepayment of Leases..............                                    (16,104)
Disposition of Property,
     Plant, and Equipment.........                                     27,745


CHANGES IN OPERATING ASSETS
 AND LIABILITIES:
Increase in accounts
     receivable...................                      10,787              0
Decrease (Increase) in
     prepaid expenses.............           -             -          (27,371)
Increase in accounts payable and
     accrued expenses.............      538,380        635,225     12,756,260
Increase in notes payable.........    2,055,752      1,809,999     20,245,363
                                        (22,788)      (584,043)  ($20,427,085)



TOTH ALUMINUM CORPORATION (A DEVELOPMENT STAGE ENTERPRISE)
STATEMENTS OF CASH FLOWS - (Continued)


                                          Nine Months Ended      From Inception
                                         May 31,        May 31,      May 31,
                                          1998           1997         1998

INVESTING ACTIVITIES:
Purchase of property,
     plant and equipment...........     (12,184)       (13,307)   ($1,171,230)
Acquisition of patents.............          -              -        (443,375)
Investment of Certificate
     of Deposit....................                                (3,995,000)
Cash investment in and
     Advances to TACMA.............                                (1,076,595)
Cash investments in and
     Advances to Armant............      (3,700)       (35,350)   (21,539,139)
Write off of Investment and Cash
     advances to Armant............      38,850        630,425     17,790,029
Redemption of Certificates
     of Deposit....................                                 3,995,000
Proceeds from sale of net
     Profit interest...............                              $     50,000
                                         22,966        581,768     (6,390,410)

FINANCING ACTIVITIES:
Stock issued or subscribed
     for cash......................                                18,481,076
Preferred stock issued for cash....                                   266,400
Proceeds from long term
     Obligations...................                                 1,430,349
Proceeds from warrants
     Issued for cash...............                                 6,236,507
Common stock issuance cost.........                                  (166,550)
Issuance of convertible
     Debentures....................                                 1,913,963
Cash received upon Conversion
     of debentures to
     Common Stock..................                                   112,999
Payment of Long term
     Obligations...................                                (1,457,071)
                                            -              -       26,817,673

INCREASE (DECREASE) IN CASH........       (473)        (2,275)            178
CASH BEGINNING OF PERIOD...........        651          3,750
CASH END OF PERIOD.................   $    178       $  1,475             178


See notes to financial statements

</TABLE>

TOTH ALUMINUM CORPORATION  (A DEVELOPMENT STAGE ENTERPRISE)
NOTES TO FINANCIAL STATEMENTS

1.   In  the  opinion  of  management,  the  accompanying  condensed
financial  statements contain all adjustments  (consisting  only  of
normal  recurring  adjustments)  necessary  to  present  fairly  the
financial  position of Toth Aluminum Corporation  (the  Company)  as
of  May  31, 1998, and the results of its operations and changes  in
financial position for the three months then ended.

    The   accounting  policies  followed  by  the  Company  are  set
forth  in  Note 1 to the Company's financial statements in Form  10-
K, dated August 31, 1997.

2.   The  accompanying  financial statements  of  the  Company  have
been  prepared  on  a  going concern basis, which  contemplates  the
realization  of  assets and the satisfaction of liabilities  in  the
normal  course  of  business.  The Company has incurred  net  losses
from  its  inception  in  August 1966  through  May  31,  1998,  and
August  31,  1997,  of  $67,736,177 and  $64,977,889,  respectively.
Although   the   Company's  investees  (TACMA   and   Armant)   have
constructed  facilities  that  will employ  the  Company's  patented
processes,  TACMA  has  been inactive and Armant  has  not  achieved
continuous   commercial  production.   The  Company  has  determined
that  the  operating  plant of each investee  will  require  further
modifications  before commercial production can  be  achieved.  
                                                  

    The  Company's  continuation  in  existence  is  dependent  upon
its   ability  to  generate  sufficient  cash  flow  to   meet   its
continuing  obligations on a timely basis,  to  fund  the  operating
and  capital  needs, and to obtain additional  financing as may be
required,  and  ultimately  to   attain   successful operations. Should
the  Company  be  unable  to  obtain  a  joint venture partner(s),  it
may  experience   significant difficulty. These  factors,  among
others,  may  indicate that the Company will be unable  to  continue
in   existence.   The  financial  statements  do  not  include   any
adjustments  relating  to the recoverability and  classification  of
recorded   asset  amounts  or  the  amount  and  classification   of
liabilities  that  might be necessary should the Company  be  unable
to continue in existence.

3.   The  Company  has  historically maintained investments  in  two
affiliates,  TACMA  and  Armant. The  Company  applies  the   equity
method   of   accounting  for  its  investment   in   Armant.    The
collectibility  of  the  advances  to  and  the  recovery   of   the
investment   depends   upon  the  affiliate   achieving   successful
commercial  operations.   The  investment  in  TACMA  was   expensed
during 1988.

Armant

    The   Company  is  general  partner  in  a  limited  partnership
(Armant)   formed  in  1982  to  construct  and  operate   a   metal
chlorides  plant  in Vacherie, Louisiana. The plant,  which  through
August  31,  1989, has cost approximately $23 million to  construct,
has  been  built on land (the Armant site) owned by Empresas  Lince,
S.A.,  (ELSA),  a  Central  American  corporation  controlled  by  a
former member of the Company's Board of Directors.

    Under  the  terms  of  the original partnership  agreement,  the
Company  was  to  have a 50% ownership interest in the  partnership.
In  March  1983,  the partnership agreement was revised  to  provide
the  Company  a  2% ownership interest and under a separate  license
agreement,  a  royalty payment based on net positive  cash  flow  of
the   partnership.   The  license  agreement  provides  for  royalty
payments  to  the Company equal to 28.6% of net positive  cash  flow
until  each  limited  partnership  unit  has  received  $160,000  in
cash,  at  which  time  royalty payments  increase  to  49%  of  net
positive cash flow.

    The  Company's  capital  contribution  to  Armant  consisted  of
certain  improvements  to  the property, a  non-exclusive  licensing
agreement    providing   for   Armant's   use   of   the   Company's
carbo-chlorination  processes  for producing  metal  chlorides,  and
prepaid leases as described in Note 4.

    Contributions  to  Armant  by  the  limited  partners,  on   the
basis  of  a  single limited partnership unit, consisted of  $25,000
in  initial  cash  deposits, $75,000 in cash to  be  paid  in  equal
monthly  installments  of  $5,000 and either  a  $60,000  letter  of
credit  or  the  purchase  of $60,000 of  the  Company's  restricted
common   stock.    Armant   has  received  subscriptions   for   all
thirty-five  limited  partnership  units.   At  August   31,   1984,
Armant    had   received   cash   contributions   of   approximately
$3,459,000.   The  Chairman  of  the Company's  Board  of  Directors
holds fifteen of the thirty-five units.

    During   November  1984,  the  Company  loaned   $3,995,000   to
Armant,  resulting  in  the  Company now having  a  receivable  from
Armant  in  the amount of $3,995,000 bearing interest at  13.5%  per
annum.   As  of  August  31, 1989 the Company  had  made  additional
cash  advances  to  the  Armant  Partnership  totaling  $17,409,000,
bearing   interest  at  12%  per  annum.   The  Company   has   also
liquidated   $240,000  of  Armant's  notes  payable   plus   accrued
interest  due  to  a  corporation controlled  by  a  member  of  the
Company's  Board  of  Directors by issuing  240,000  shares  of  the
Company's  restricted  common  stock.   As  a  result  the   Company
recorded  a  receivable from Armant of $276,000 bearing interest  at
12%  per  annum.   The  Company had additional non-interest  bearing
receivables  from  Armant totaling $173,000 which were  incurred  in
fiscal  1984,  resulting  from billing under  a  service  agreement.
Subsequent   to   that  date  all  costs,  including   general   and
administrative  cost,  incurred  by  the  Company  related  to   the
construction   and  operation  of  the  Armant  Plant,   have   been
absorbed  by  the Company and expensed as incurred.   As  of  August
31,  1997,  the Company has guaranteed nearly $525,000  of  Armant's
bank debt plus accrued interest.

    The  initial  phase  of  construction of the  Armant  Plant  was
completed  in  December 1983.  Since that time, numerous  test  runs
have  been  performed in an effort to achieve continuous  commercial
production  of  market  grade metal chlorides.   Subsequent  to  the
Company's   1986  fiscal  year  end,  Armant  determined  additional
funding   would  be  required  to  sustain  successful   operations.
Therefore,  because  of  unexpected  construction  delays  and   the
continued  lack  of  commercial production at  Armant,  the  Company
elected  to  discontinue  accruing interest  income  on  the  Armant
receivable  and  reversed,  in the fourth  quarter  of  fiscal  year
1986,   all   interest  income  previously  accrued  which   totaled
$1,164,000 of which $551,000 was accrued through August 31, 1986.

    Further,  Armant  elected  to  discontinue  capitalizing   plant
start-up  costs. The net loss recognized by Armant during  the  year
ended  August  31,  1987,  which primarily resulted  from  expensing
start-up  costs,  was  first  allocated  to  the  partners'   equity
accounts  based  upon their respective percentage interests  in  the
total  partnership  equity.  To the extent that this  loss  exceeded
the  total  limited  partners' equity, all  additional  losses  were
allocated  to  the  Company's equity interest  in  the  partnership,
since  the  Company  is  the sole general  partner  in  the  limited
partnership  and  is  at  risk  for these  losses  in  the  form  of
advances to Armant.

    After  an  extensive  revaluation  of  the  Armant  Partnership,
Management  determined that the cost capitalized and  deferred  must
be  written  down  in accordance with Generally Accepted  Accounting
Practices.   Costs capitalized and deferred by Armant consisted of
the following:


                                              May 31,      August 31,
                                               1998            1997
Direct carbo-chlorination plant costs:
    Process equipment..................  $  3,100,000     $ 4,110,000
    Other equipment....................            -           14,000
    Leasehold improvements.............        85,000         100,000
                                            3,185,000       4,269,000
Self-construction and start-up costs:
  Salaries:
    Engineering........................        45,000         360,000
     Plant construction and
        operations.....................       745,000       2,154,000
     Indirect labor and overhead.......        42,000         367,000
                                              832,000       3,766,000

                                         $  4,017,000     $ 9,441,000



    Presented   below   is  summarized  financial   information   of
Armant.    Beginning   September  1,  1986,    Armant   elected   to
discontinue  capitalizing costs not directly associated  with  plant
construction.     Further,    Armant    elected    to    discontinue
capitalizing  interest  costs  in 1988  and  reversed  all  interest
costs  that  had  been capitalized in 1988.  Prior to  September  1,
1986,  all  costs  were  capitalized and deferred. 

                                              May 31,      August 31,
                                               1998           1997
Assets:
     Plant and equipment..............    $ 3,500,000    $  7,150,000
     Other............................        100,000         525,000

     Total............................    $ 3,670,000    $  7,732,000

Liabilities and Equity:
   Notes payable - Toth Aluminum
       Corporation....................    $ 4,940,000    $  7,087,000
     Notes payable - Bank.............        525,000         525,000
     Payables - Toth Aluminum Corp....     12,630,000      13,950,000
          Other payables..............        680,000         550,000

     Equity - Toth Aluminum
          Corporation.................    (15,162,000)    (13,484,000)
           - Other....................        (13,000)        (13,000)
                                          (15,175,000)    (13,497,000)

       Total..........................    $ 3,600,000    $  7,732,000
     
                                                                 
                                                 Nine Months Ended
                                               May 31,        May 31,
                                                1998           1997
Statement of Plant Expenses
     Write down of
           Capitalized costs..........          8,000         470,000
     Direct plant costs...............         18,000         154,000
     Interest expense.................        155,000       1,725,000
     General and
           administrative costs.......         66,000          98,000
 Net loss                                 $   247,000      $2,447,000



                                             May 31,       August 31,
                                              1998            1997
Payable to and Equity of Toth Aluminum
     Corporation:
   Notes  payable......................  $ 18,735,000    $ 18,975,000
    Payables...........................     5,740,000       5,900,000
  Beginning equity of the Company......    (5,560,000)     (5,560,000)
       Less:  Loss from Armant.........   (11,013,000)    (11,110,000)
       Affiliates interest:
        Capitalized by Armant, but
         not accrued by the Company....    (5,620,000)     (5,620,000)
        Expensed by Armant, but not
           accrued by the Company......    (2,211,000)     (1,356,000)
   Investment in and advances to
        Armant.........................   $    71,400     $   110,000


4.    Notes  payable  consisted  of  the  following:

                                              May 31,      August 31,
                                               1998            1997
Notes payable to bank, collateralized
      (A): At 12%......................    $      -        $      -
Demand notes payable to related
      parties, unsecured At 12%........        23,100          23,100
Notes payable to other parties,
     secured (A) At 12%................       300,000         300,000
Series AA-1" Convertible
  Promissory Notes
     Payable to related parties........     7,398,265       7,398,265
     Payable to others.................     5,978,421       5,978,421
                                           13,376,686      13,376,686

Total..................................  $ 13,699,786      13,699,786

    A)  Collateralized by a pledge of personal  assets  owned  by
the Company's Chairman of the Board.

5.  The financial statements are summarized and reference is made
to  the "NOTES TO FINANCIAL STATEMENTS" included in the Company's
Annual  Report on Form 10-K for the fiscal year ended August  31,
1997, as filed with the Securities and Exchange Commission.

Management's  Discussion and Analysis of Financial Condition  and
Results of Operations.

Liquidity and Capital Resources

    During  the  nine  months ended May 31,  1998, total  assets
decreased  to  $128,133 from $195,040 at  August 31,  1997,  and
current assets decreased from $4,112 to $178.    The decrease in
total  assets is the results of the Company's decision to  write
down  an  additional  $38,850 in  capitalized  cost  carried  by
Armant   Limited  Partnership.   This  write down  reduced   the
Company's Investments in and Advances to Armant from $110,250 as
of   August   31,  1997  to   71,400  on  May  31,  1998.    The
recoverability of the Company's investment in  and  advances  to
Armant  of  $71,400  is  dependent  on  the  Armant  Partnership
achieving   and sustaining  sufficiently  profitable  commercial
operations (see note 3 of Notes to Financial Statements).  Total
liabilities, including  the Series "A-1" Convertible  Promissory
Note, increased from $26,730,059 to $29,293,307 during the  same
period.
    
    The  Company,  as general partner of Armant,  has  granted  a
continuing  guarantee  of  Armant's  outstanding  bank  debt   of
approximately $525,000 plus accrued interest.

Working Capital Meeting Operating Needs and Commitments

    From  inception,  the  Company has sustained  its  operations
primarily through funds provided by private placements and public
offerings  of  its  common  stock.  Due  to  the  length  of  its
development  stage  activities,  liquidity  has  always  been   a
continuing concern.  The Company has incurred net losses from its
inception   in  1966  through  May  31,  1998,  of  approximately
$67,736,177.  Although the Company's investees (Armant and TACMA)
have  constructed  facilities that employ the Company's  patented
processes,   Armant   has  not  achieved  continuous   commercial
production, and the commercial viability of the processes has not
been demonstrated.  TACMA has not commenced commercial production
and no such activities are currently planned.  The recoverability
of  the  Company's  investments in and  advances  to  Armant,  is
dependent  on Armant achieving sufficiently profitable commercial
operations.  These factors, among others, may indicate  that  the
Company  will be unable to continue in existence.  The  financial
statements  do  not  include  any  adjustments  relating  to  the
recoverability  and classification of recorded asset  amounts  or
the  amount  and  classification of  liabilities  that  might  be
necessary  should the Company be unable to continue in existence.
The  Company's  continuation in existence is dependent  upon  its
ability  to  generate sufficient cash flow to meet its continuing
obligations on a timely basis, to obtain additional financing  as
may  be required, and ultimately to attain successful operations.
Management  believes that the plants constructed  by  Armant  and
TACMA  demonstrate  that the production of  metal  chlorides  and
aluminum  intermediates through the Company's patented  processes
is  possible.  Further, the planned expansion of the Armant Plant
should  enable it to achieve continuous production of alumina  as
well  as  metal  chlorides.  Management believes that  continuous
production  capabilities should enable it  to  attain  successful
operations. This will not occur at the TACMA facility unless  and
until the Company directs its efforts and resources toward TACMA.
No such activities are currently planned at TACMA.


Immediate Development Plans at Armant and Canada.

           
    As  in  the previous years, the principal goal of the Company
is   to  commercialize  its  process  to  produce  aluminum   and
intermediate chloride and oxide products from clay.  One  of  the
first  steps  in the commercialization process is the  commercial
production of metal chlorides.  The Company is currently  engaged
in   pursuing   this   option  to  achieve  this  first  level of 
commercialization.  

    In August  1995,  Fluor Daniel Inc.  undertook  a feasibility
study of a project to  construct  a  commercial  Metal  Chlorides
Plant to manufacture aluminum  chloride,  silicon  tetrachloride,
titanium  tetrachloride  and  other  products from clay using the
company's  proprietary  carbo-chlorination  technology.     Fluor
Daniel's assessment was highly favorable, but the Company has not
succeeded in raising the funding needed to complete the project.


Armant

    The Armant Plant, which was intended to be constructed so as
to operate on a continuous basis, was  only capable of operating
only in a "batch" mode when it was shutdown in 1988.   The plant
was then capable  of  producing  approximately 100,000 pounds of
aluminum chloride per batch. In order to operate on a continuous
basis, additional equipment must be installed.  Due to a lack of
funding the required equipment has not been installed. While such
installation is still a viable option, there are no current plans
to upgrade the Armant facility.


Canada
    
    The Western Canadian raw materials resources were found to be
economically suitable for the Company's clay carbo-chlorination
technology.  The Company has formed a Canadian company by the name
"WestCan Chemicals, Inc." which is licensed from the Company to
develop, construct, and operate a metal chlorides plant in Canada,
utilizing western Canadian feedstocks.  Due to a lack of funding
no activities are currently underwy in Canada.


Results of Operations

    The Company had no operating revenues and reported net
losses.  The Company is considered to be a development stage
enterprise; start-up activities have commenced, but the Company
has received no revenue therefrom.

    The net loss for the nine months ended May 31, 1998, was
$2,733,871 compared to $4,476,615 for the corresponding period in
1997.  During the nine month period ending May 31, 1998, the
company continues to write down a significant amount of its
investment in the Armant Partnership which affected its net loss.

    The initial phase of construction of the Armant Plant was
completed in December, 1983.  Since that time, numerous test runs
have been performed in an effort to achieve continuous commercial
production of market grade metal chlorides.  Subsequent to the
Company's 1986 fiscal year end, Armant determined additional
funding would be required to sustain successful operations.
Therefore, because of unexpected construction delays and the
continued lack of commercial production, Armant elected to
discontinue capitalizing plant start-up costs as of August 31,
1986.  The net loss recognized by Armant during the three months
ended November 30, 1987, resulted primarily from expensing start-
up costs.  The net loss recognized by Armant during the year
ended August 31, 1987, was first allocated to the partners'
equity accounts based upon their respective percentage interests
in the total partnership equity.  To the extent that this loss
exceeded the total partners' equity, all additional losses were
allocated to the Company's equity interest in the partnership,
since the Company is the sole general partner in the limited
partnership and is at risk for these losses in the form of
advances to Armant.  The Company's equity in the loss of Armant
for the nine months ended May 31,1998, was $92,821,  which
was a result of Armant losses in excess of total partnership
equity and was recorded as a reduction in investment in and
advances to Armant.


PART II.  Other Information


Item 1.  Legal Proceedings

    See  Item  10 of the Company's Form 10-K for the  year  ended
August 31, 1997, concerning legal proceedings.


Item 6.  Exhibits and reports on Form 8.





                           SIGNATURE

    Pursuant  to the requirements of the Securities Exchange  Act
of  1934, the Registrant has duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized.




TOTH ALUMINUM CORPORATION
(Registrant)








BY: Charles E. Toth                     Date: July 30, 1998
    Charles E. Toth
    Treasurer






BY: Charles Toth                           Date: July 30, 1998
    Charles Toth
    Chairman of the Board of Directors
    Chief Executive Officer